The Real Deal Miami

King of Diamonds strip club’s landlord faces foreclosure

A lender filed a foreclosure suit against the landlord for allegedly defaulting on a $5.3M mortgage

August 18, 2017 05:30PM

King of Diamonds

King of Diamonds is in the mix of yet another foreclosure.

The landlord of the infamous strip club in Miami, Kodrenyc LLC, was sued for foreclosure by 17800 State Road 9 Lender LLC for allegedly defaulting on a $5.3 million mortgage, according to the South Florida Business Journal.

The lender now seeks to take over the 60,622-square-foot strip club building at 17800 State Road 9, and asks that a receiver be appointed over the property to collect rent, according to the SFBJ. King of Diamonds, the tenant on the property, was not named in the suit.

In July the lender had bought two mortgages from the landlord. According to the lender’s complaint, the Brooklyn-based landlord missed its monthly mortgage payments in May, the SFBJ reported.

Kodrenyc scored the first mortgage when it bought the property for $6 million in 2014. The loan, from AM145 Holdings LLC, was for $4 million. In March 2017 AM145 Holdings LLC modified the mortgage to forgive $278,000 of past-due interest and fold on an additional $1.3 million of past-due interest into the loan, according to SFBJ.

The second loan, for $700,000, was from Dominion Capital.

It’s not the first time King of Diamonds’s landlord has been sued. Last year, King of Diamonds and its landlord were sued by Miami-Dade County for allegedly building without permits and operating without a valid certificate of use. In 2014, strippers filed a proposed collective action claiming they were owed wages and overtime. [SFBJ] – Amanda Rabines